Bakkt and its implications on the market

On the 22nd of October, the ICE sent out a notice announcing that the Bakkt daily bitcoin futures will start trading on the 12th of December. This is a big deal, one that is widely expected to trigger bullish sentiment in bitcoin (BTC), after a whole year of losses. But Bakkt is not just a big deal for Bitcoin (BTC), it also has positive implications for other cryptocurrencies as well. That’s because if bitcoin moons, it will pull the rest of the market with it, as has been the case in the past.

In a bull market, most altcoins tend to gain more than bitcoin. For instance, in 2017 when bitcoin made huge gains, XRP outperformed it by thousands of percentages. Therefore, if Bakkt triggers a bull market as it widely speculated, then XRP could be a huge beneficiary to that rise.

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On top of that Bakkt once it goes live could help bring forth the right regulations to the crypto market, regulations that can help in the adoption of XRP. Crypto regulations in the U.S have been slow to come by, but with Bakkt and other crypto products, prices will stabilize and the SEC would be more confident in setting the right regulatory environment for crypto. With favorable regulations, a crypto as innovative as XRP would gain widespread adoption in the U.S banking industry, for the cost advantages that it gives them.

Besides, XRP (XRP) has a number of factors that make it ripe for a major bull run even without Bakkt. As such, all it will take is a trigger, and people will FOMO into XRP. That trigger could be Bakkt if it brings bulls back to the BTC market, and people start seeing positive price moves in the crypto market.

One of the key factors that give XRP the impetus to grow in a bull market, is its increased rate of adoption. The number of institutions using ripplenet has grown significantly this year. A number of financial institutions are already using ripple’s XCurrent, and it is widely expected that they will transition to XRapid in due time, for the cost benefits it brings. Besides, since XRapid went live, the number of financial institutions using it is growing. This adoption of XRapid and other ripple services has created a lot of positive speculation around XRP. Therefore, in case of a market-wide bull run, XRP would most likely see its price rise faster than that of Bitcoin (BTC).

The above factors point to a situation whereby XRP could be headed for a huge bullish breakout in the near future, once Bakkt bitcoin futures start trading. But even if Bakkt doesn’t trigger a bull run this year, XRP is pretty much guaranteed of some huge gains in the future. The buildup of positive news about its adoption all across the world will lead to a massive bullish rally at some point. It could be a sudden break or a slow build up. Whichever way it goes, XRP looks all set for long-term growth.

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